Sunday, May 24, 2009

Government has notified the new ACP SCHEME for Central Government Employees as recommended by the Sixth Central Pay Commission.

The Scheme would be known as " MODIFIED ASSURED CAREER PROGRESSION SCHEME (MACPS) FOR THE CENTRAL GOVERNMENT CIVILIAN EMPLOYEES.

The Government has considered the recommendations of the Sixth Central Pay Commission for introduction of a MACPS and has accepted the same with further modification to grant three financial upgradations under the MACPS at intervals of 10, 20 and 30 years of continuous regular service.

The scheme would be operational w.e.f. 01.09.2008. In other words, financial upgradations as per the provisions of the earlier ACP Scheme ( of August, 1999) would be granted till 31.08.2008.

Tuesday, May 19, 2009

Sub: Financial upgradation under the ACP Scheme on implementation of revised pay structure under Sixth CPC.

As a consequence of implementation of 6th CPC recommendations a new pay structure has come into existence w.e.f. 01.01.2006. With a view to regulate the ACP Scheme in context of new / revised pay structure a reference seeking certain clarification has been made to DOP&T advised that implementation of ACP Scheme may please be suspended immediately till further instructions are issued from Board's office.

We all know that as per 6CPC recommendations for pension benefits which was also implemented by the Government, CG employees who have completed the qualifying service of 20 years will be eligible for full pension (viz., 50 % of last pay drawn). However, the Government gave effect to this order only from 2.9.2008 and those who retired before 2.9.2008, completion of 33 years of service is mandatory for getting full pension.

As per Office memorandum No: 38/37/08-P&PW(A) dated 2.9.2008 Government Servants who retired during 1.1.2006 to 1.9.08 after completion of 33 years of qualifying service will be eligible for full pension and the pension of those Government Servants who retired before 2.9.08 with qualifying service of less than 33 years will continue to be proportionate to the full pension based on their actual qualifying service.

However, this decision was objected by many of the pensioners as pay benefits except allowance were given with effect from 1.1.06 by the government. Their concern is denying full pension to those who retired between 1.1.06 to 1.9.08 even if they have completed more than 20 years is not rational. Also, according to the affected pensioners, this decision would create phenomenal disparity in the pension benefits between the one who retired from Jan-06 to Aug-08 and others who retired after Sept-08.

Many representations were forwarded to Government by the pensioners to rectify this disparity and to take a uniform stand for providing full pension to all those who retired after 1.1.06, if they have completed 20 years of service.

However, by issue of the Office memorandum dated 12.05.09, Government ruled out full pension for those who retired after 1.1.2006 but before 2.9.2008, even if they had completed 20 years of service. As per this latest clarification (OM dated 12.05.09), Government servants who retired before 2.9.08 with qualifying service of 33 years will continue to be proportionate to the full pension based on their actual qualifying service.

As per the said clarification OM dated 12.05.09, the basis for taking this decision is the Government took a policy decision to implement the the provision for full pension after 20 years of service with effect from 2.9.08.

It was also clarified by the Government that in light of various decisions of Apex Court allowing the employer to fix a cut-off date for introducing any new pension/retirement scheme, the decision of Government is in accordance with the law and there is no violation of Article 14 of the Constitution.